Australians will increasingly find themselves prescribed generic drugs rather than the big-name brands, under changes to be unveiled in next week’s Budget.

Key points:

Budget changes to encourage doctors to prescribe generic drugs
Increased use of generic drugs could save PBS $1.8billion over 5 years
Doctors concerned changes could challenge their independence
7.30 understands the Government intends to change the prescribing software used by doctors, with the default setting switched to the active ingredient.

GPs would still be able to prescribe particular brands but under the new “opt out” regime, they would have to actively nominate a drug other than the generic name.

Industry sources said this change – plus a suite of measures to be inked in an agreement between the Government and Medicines Australia before Tuesday’s Budget – would save a combined $1.8 billion.